https://help.tallysolutions.com/docs/te9rel64/Tax_India/excise-dealer/ed-introduction.htm

Introduction to Excise for Dealers

Dealers registered under Central Excise Rules 1944 are called registered excise dealers. Such dealers should maintain the prescribed RG23D register and file Form 2.

Quarterly Return (Form 2) is proposed vide notification number 73/2003 C.E. (N.T.) exercising the powers conferred by Rule 7(6) of the CENVAT Credit Rules 2004. It is a quarterly return to be filed by registered first stage and second stage dealers and importers with details of:

Excise sales invoices issued.

Excise purchase invoices based on which credit is passed on.

Only when there is a sale, the corresponding purchase can be shown in this form. Hence, all sales transactions have to be shown in Form 2 by providing the corresponding purchase details. Only the duty paid during purchase can be passed on while recording a sales invoice. Amount of duty passed on does not depend on the sale value.

On selling to another registered dealer/importer/manufacturer, Rule 11 invoice has to be issued with details of duty passed on. While selling to consumer or an unregistered person, commercial invoice must be issued (as duty cannot be passed on).

Dealers and importers can e-file returns:

Offline by downloading the XLS Utility from ACES website, filling the data, generating XML file and uploading the XML to the ACES website.

Online by logging onto ACES website and filling the web-form.

By using the XLS Upload option provided in the dealer's login to directly upload, the excel file comprising a simple listing of excise sales and purchase invoices in two separate worksheets, to department website.

The periodicity of filing returns is quarterly and the due date for e-filing is 15th of the month succeeding the completed quarter. For example, if Form 2 has to be filed for the quarter Apr-Jun, the due date for filing would be 15th of July. ( https://www.aces.gov.in/Ret_FAQ.jsp ).

Dealers Covered Under Excise

First Stage Dealer

A first stage dealer is one who purchases goods directly from:

The manufacturer under the cover of any invoice issued in terms of the provision of Central Excise Rules 2002, or from the depot of the said manufacturer.

The premises of the consignment agent of the manufacturer or importer.

Any other premises from where the goods are sold by or on behalf of the manufacturer.

An importer or from the depot of an importer.

Effective from 1 March 2014, an importer who issues CENVAT invoice is also considered as first stage dealer.

Second Stage Dealer

A registered dealer who purchases goods from the first stage dealer is called as second stage dealer.

Type of Duties and Method of Calculation

Sl. No.

Name of Duty

Duty Code

Method of Calculation

1

Basic Excise Duty

CENVAT

On Assessable Value

2

Special Excise Duty

SED

On Assessable Value

3

National Calamity Contingent Duty

NCCD

On Assessable Value

4

Additional Duty of Excise on Textile & Textile Articles

AED_TTA

On Assessable Value

5

Special Additional Excise Duty

SAED

On Assessable Value

6

Additional Duty of Excise

ADE

On Assessable Value

7

Additional Duty Levied Under Clause 85

ADE_LVD_CL_85

On Assessable Value

8

Additional Duty of Excise on Goods of Special Importance

AED_GSI

On Assessable Value

9

Education Cess

EDU_CESS

Basic Excise Duty + All Duties

10

Secondary Education Cess

SEC_EDU_CESS

Basic Excise Duty + All Duties

11

CESS ON AUTOMOBILES

CESS_AUTOMBL

On Basic Excise Duty

12

CESS ON BEEDI

CESS_BEEDI

On Basic Excise Duty

13

CESS ON CASHEW

CESS_CASHEW

On Basic Excise Duty

14

CESS ON CHROME

CESS_CHROME

On Basic Excise Duty

15

CESS ON COKE COLA

CESS_COAL_COKE

On Basic Excise Duty

16

CESS ON COFFEE

CESS_COFFEE

On Basic Excise Duty

17

CESS ON COPRA

CESS_COPRA

On Basic Excise Duty

18

CESS ON COTTON FABRICS

CESS_COTN_FBRC

On Basic Excise Duty

19

CESS ON COTTON

CESS_COTTON

On Basic Excise Duty

20

CESS ON CRUDE OIL

CESS_CRUDEOIL

On Basic Excise Duty

21

CESS ON FIBRE

CESS_FIBER

On Basic Excise Duty

22

CESS ON FEATURE FILMS

CESS_FILMS

On Basic Excise Duty

23

CESS ON IRON ORE

CESS_IRON_ORE

On Basic Excise Duty

24

CESS ON JUTE

CESS_JUTE

On Basic Excise Duty

25

LAC CESS

CESS_LAC

On Basic Excise Duty

26

CESS ON LIMESTONE AND DOLOMITE

CESS_LIME_DLMT

On Basic Excise Duty

27

CESS ON MANGANESE

CESS_MAGNSE

On Basic Excise Duty

28

CESS ON MARINE

CESS_MARINE

On Basic Excise Duty

29

MATCHES CESS

CESS_MATCHES

On Basic Excise Duty

30

CESS MEDICINAL

CESS_MEDICINAL

On Basic Excise Duty

31

CESS ON MANMADE FABRICS

CESS_MNMD_FBRC

On Basic Excise Duty

32

NATURE GAS CESS

CESS_NATRL_GAS

On Basic Excise Duty

33

CESS ON OIL

CESS_OIL

On Basic Excise Duty

34

CESS ON OTHER COMMODITIES

CESS_OTHR_CMDT

On Basic Excise Duty

35

CESS ON PAPER

CESS_PAPER

On Basic Excise Duty

36

CESS ON RAYLON

CESS_RAYON

On Basic Excise Duty

37

CESS ON RUBBER

CESS_RUBBER

On Basic Excise Duty

38

CESS ON SALT

CESS_SALT

On Basic Excise Duty

39

CESS ON STRAW BOARD

CESS_STRW_BRD

On Basic Excise Duty

40

CESS ON SUGAR

CESS_SUGAR

On Basic Excise Duty

41

CESS ON TEA

CESS_TEA

On Basic Excise Duty

42

CESS ON TEXTILES

CESS_TEXTILE

On Basic Excise Duty

43

CESS ON TOBACCO

CESS_TOBCCO

On Basic Excise Duty

44

CESS ON VEGETABLE OIL

CESS_VEG_OIL

On Basic Excise Duty

45

CESS ON WOOLEN

CESS_WOOLEN

On Basic Excise Duty